The Odisha government has rejected Jindal Steel & Power (JSPL)’s proposal to acquire 49% stake in Gopalpur Ports (GPL) on the grounds of no locus standi. Further, as per the government, the proposal can only be entertained from the concessionaire.
Earlier, JSPL was keen on acquiring 60% stake in GPL. The state government had turned down the proposal on the grounds of violation of the terms of the concession agreement signed with the original promoters. According to the pact, the original promoters had to hold at least 51% stake for at least three years from the date of commencement of the port’s operations.
Initially, GPL was floated as a consortium of three partners---Hong Kong-based Noble Group, Odisha Stevedores (OSL) and Delhi-based Sara International (SIL). Noble Group had exited the consortium in May 2010. Currently, OSL holds 50.5% stake, while SIL holds 49.5%.
The consortium was incorporated to develop the seasonal port at Gopalpur into an all-weather port. The port’s total capacity was envisaged at 54 million tonnes a year and it was to be developed at a cost of Rs 3,500 crore.
| Company Name | CMP |
|---|---|
| Jindal Steel | 1269.50 |
| Lloyds Metals&Energy | 1622.70 |
| Jai Balaji Inds | 72.59 |
| Steel Exchange India | 8.96 |
| Rajputana Stainless | 125.90 |
| View more.. | |
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